Taxation Law - Tax Evasion – Undervaluation of Goods – Section 129 of the IGST/CGST Act – Goods in transit can be seized if transported in contravention of the Act or Rules – The petitioners contended that their goods were lawfully transported with valid tax invoices and without an e-way bill, as the value was below ₹50,000 – The Court held that undervaluation of go...
Taxational Law – CGST Act, UPGST Act - Provisional Attachment – Justification under Section 83 of UPGST Act – The petitioner’s bank account was provisionally attached due to alleged tax evasion – The petitioner contended that the attachment was arbitrary and relied on Radha Krishan Industries v. State of Himachal Pradesh (AIR 2021 SC 2114), where the Supreme Court rul...
Income Tax – Transfer of Case – Section 127 of Income Tax Act – Held: Transfer of petitioner’s case was justified as part of centralization of investigation into M/s. Falcon Marine Pvt. Ltd. and its group – Multiple cases were transferred for coordinated investigation – Transfer order upheld [Paras 7-8, 12-13]. Principles of Natural Justice – Requiremen...
Taxation Law – VAT - Taxation of Set-Top Boxes (STBs) – Whether STBs are Goods – Interpretation of Section 2(15) KVAT Act, 2003 – The petitioners challenged the Karnataka Appellate Tribunal’s decision, which held that Set-Top Boxes (STBs) provided to subscribers for a fee constitute a ‘sale’ under Section 2(29)(d) of KVAT Act, 2003 – Petitioners argu...
Service Tax – Lottery Distributors – Principal-Agent vs. Principal-to-Principal Relationship – No Service Tax Liability – The Government of Sikkim entered into agreements with the respondents for the sale of lottery tickets – The agreements provided for the outright sale of tickets, with unsold tickets being returned for destruction to ensure transparency – The ...
Taxation Law - Fixed Place Permanent Establishment (PE) – Business Connection – No Fixed Place PE Established – Test of Disposal Not Satisfied – The Revenue contended that Nokia OY had a Fixed Place PE in India through its subsidiary, NIPL – The Court examined whether a fixed place of business was at the disposal of the assessee for conducting its business – Hel...
Taxation Law - Admissibility of Additional Evidence – Rule 46A of the Income Tax Rules, 1962 – Tribunal's Action Justified – The appellant challenged the ITAT's refusal to admit additional evidence regarding a Will that was not presented during the assessment or CIT(A) stages – Held: Rule 46A conditions were not met, as no application for admitting new evidence was ...
Taxation Law – Withholding Tax under Section 197 Income Tax Act – Assessing Officer must consider previous years' tax treatment – The Court held that under Rule 28AA of the Income Tax Rules, the Assessing Officer (AO) is required to consider the past four years' tax history before issuing a withholding tax certificate – Since in the previous assessment y...
Income Tax – Penalty under Section 271AAA – Interpretation of "Undisclosed Income" – Partial Relief Granted – The appellant challenged the penalty imposed on his total assessed income under Section 271AAA – Held: The imposition of penalty is not automatic; the Assessing Officer must establish the existence of "undisclosed income" as defined in the ...
Taxation Law - Sales Tax – Exemption Under PSI 1993 – Whether Withdrawable After 2002 Amendment – Held: No – The State of Maharashtra granted tax exemption to the respondent under PSI 1993 based on Eligibility Certificate (1998) and Entitlement Certificate (1998) – The 2002 amendment to Section 8(5) of CST Act imposed a new requirement for submitting Form ‘C&rsq...
